This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/world/7588375.stm
The article has changed 4 times. There is an RSS feed of changes available.
Version 0 | Version 1 |
---|---|
More firms increase energy bills | |
(20 minutes later) | |
Two more energy firms have said they will increase gas and electricity prices, blaming higher wholesale costs. | |
Scottish Power said it would raise gas prices by an average of 34% and electricity prices by 9%, effective from Monday 1 September. | |
Soon after, Npower said domestic customers would see an average rise of 14% for electricity and 26% for gas, effective immediately. | |
E.On, British Gas, EdF and Scottish and Southern Energy have all raised prices. | |
Scottish Power said it was "forced to follow other energy providers", becoming one of the last major suppliers to announce higher prices for domestic customers. | |
"These are difficult times and we understand the financial impact this announcement will have on our customers," said Willie MacDiarmid, Scottish Power's director of energy retail. | "These are difficult times and we understand the financial impact this announcement will have on our customers," said Willie MacDiarmid, Scottish Power's director of energy retail. |
He added that the volatility in the gas market was contributing to higher UK domestic prices. | He added that the volatility in the gas market was contributing to higher UK domestic prices. |
Dual fuel customers will see their bills increase by an average of 25%. | Dual fuel customers will see their bills increase by an average of 25%. |
Scottish Power also said it planned to spend £40m on steps to help protect vulnerable customers over the next three years. | Scottish Power also said it planned to spend £40m on steps to help protect vulnerable customers over the next three years. |
The firm, owned by Spain's Iberdrola, is to invest £2.8bn from 2008 to 2010. | The firm, owned by Spain's Iberdrola, is to invest £2.8bn from 2008 to 2010. |
Raw materials | |
Npower said: "Today's price rises are due to massive increases in wholesale costs which make current pricing levels unsustainable, following a price decrease in 2007 and an increase at the start of 2008." | |
"Until today Npower's domestic gas prices were still the same level they were 18 months ago - whereas, during this time, the cost of wholesale gas has doubled," said the firm. | |
The firm also said electricity generation is was directly affected by "soaring raw material prices, which have risen by 122% for gas and coal, and 79% for oil, over the last 12 months". |